As "Occupy Wall Street" demonstrations have gone national, observers are taking note of the prominent role of labor unions in this anti-business crusade. The rote denunciations of "corporate greed" at these events could have been lifted from almost any AFL-CIO convention speech. That doesn't necessarily mean, of course, that union organizers are putting words in protestors' mouths. Yet it does strongly suggest that organized labor and street radicals recognize each other as natural allies.
It looks like the "Chicago Way" will continue with William Daley taking the White House Chief of Staff position formerly held by Rahm Emanuel. Daley is a particularly poor choice because he represents the nexus of big government, big business and the left-wing activist groups they enable and bankroll.
Daley is not a "centrist," nor is he "pro business," except when he is getting a piece of the action. Daley has carried the title of "Midwest Chairman" of JPMorgan Chase but he is not a banker or a businessman. He is a broker of influence. That is why JPMorgan Chase hired him in the first place.
The electorate’s repudiation of Barack Obama and his Congressional allies was not only a rejection of Big Government, but also of business elites who were buffeted from the downturn by political dealing at the expense of ordinary people.
Unless Corporate America heeds the election results, it too will risk the wrath of an informed and energized public. Here are CEOs who must pay attention to what happened yesterday:
Pfizer CEO Jeffrey Kindler- Not only did Kindler (above) lead the charge of Big Pharma CEOs for ObamaCare, he actually got a multi-million dollar bonus from Pfizer for doing so. This is not going to look very good once ObamaCare spikes insurance premiums, prompts hospital closures, and explodes the number of uninsured. Of course, Kindler wasn’t naïve or confused, he had reason to help destroy the health system. Big Pharma made a deal that guarantees it customers and insulation from competition. (I assume Kindler plans to retire before the government forces Pfizer to sell its products for less than it costs to produce them.)
Robert Rubin’s obstinate performance yesterday on Capitol Hill is sure to fuel popular disgust with the bank bailouts. Rubin appeared to be what he is, someone who has walked away with so much money that he doesn’t have to answer to anyone. When he was responsive, Rubin tried to claim that he had nothing to do with Citigroup’s meltdown. He also tried to make it complicated, which it is not.
All you have to do is read pages 145 and 146 of Charlie Gasparino’s book, titled The Sellout, for a concise account of Rubin’s role in leveraging up Citigroup. Rubin not only pushed for more risk-taking at Citigroup’s executive and board levels, but he also “was making the rounds of the various departments and talking to people about taking more risk.”
Submitted by NLPC Staff on Thu, 04/01/2010 - 13:30
NLPC President Peter Flaherty and Democratic strategist Taylor West discuss JPMorgan CEO Jamie Dimon's complaints about Obama demonizing the banks. CNBC hosts are Larry Kudlow and Trish Regan. Click here to download a 3-page pdf transcript.
NLPC has asked JPMorgan Chase CEO Jamie Dimon to end financial support for Association of Community Organizations for Reform Now (ACORN), and its affiliates. According to the 2007 tax return for the JPMorgan Chase Foundation, the most recent available, ACORN Housing, Inc. was the recipient of a million dollar grant in 2007. Another grant of $25,000 was made to the ACORN Institute. In a letter to Dimon, I warned:
Continued identification with ACORN harms the company’s brand name and reputation, and carries special risks for this company, a recipient of taxpayer TARP funds. The New York Times has identified you as President Obama’s “favorite banker.”
A new book by Barron’s reporter Erin Arvedlund asserts that banking giant JPMorgan Chase became aware of Madoff’s Ponzi scheme months before his arrest, prompting the bank to liquidate its positions in a Madoff-related fund. Yet, the bank continued to accept deposits into Madoff’s main account at the bank from unsuspecting investors who were about to lose everything.
NLPC is a critic of JPMorgan Chase’s support for political and social causes that are contrary to the bank’s interests and hostile to the capitalist system itself, such as ACORN. Although these new revelations are a separate controversy, both reflect an apparent willingness by the firm to work with shady enterprises if it is perceived to be in its own interest.